Covanta Achieves Stronger Net Income for Quarter, Year

Net income from continuing operations for the Morristown, N.J.-based Covanta increased 27 percent to $80 million for the quarter ended Dec. 31, compared with $63 million in the year-ago period. Revenue advanced 3 percent to $430 million from $419 million in the 2010 period, the company said in a news release.

For the year, operating income jumped 41 percent to $218 million compared with $155 million in 2010. Revenue rose 4 percent to $1.65 billion compared with $1.58 billion a year earlier.

The company said the results for 2010 were aided by higher recycled metal revenues, service fee contract escalations, higher waste volumes and operational improvements. The net income increase was partially offset by lower debt service pass-through revenue, lower operating income at Covanta’s biomass facilities and lower energy pricing.

Fourth-quarter results were also helped by higher tip-fee volume and increased construction revenue.